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SanDisk Soars to Multiyear Gains on Datacenter Demand

Investor enthusiasm for large hyperscaler contracts and far higher margins has pushed the stock to extreme levels while a potential NAND supply recovery threatens that outlook.

Overview

  • SanDisk's share price has climbed dramatically since its 2025 spinoff, rising about 725% year to date to roughly $1,959 and delivering multi‑thousand percent gains since mid‑2025.
  • The rally is grounded in a sharp jump in enterprise sales, with datacenter revenue reported up 645% year over year and gross margins expanding to about 78%.
  • Management cited multiple signed multiyear agreements that lock in hyperscaler demand and guided to much higher revenue and earnings for the next quarter.
  • Some analysts now warn the stock is vulnerable because a recovery in NAND flash supply could undercut pricing and remove a key support for margins and revenue.
  • Near‑term tests for whether the surge can hold include upcoming quarterly results and industry NAND‑pricing trends that will show if demand and tight supply remain intact.